In a Monopsonistic Input Market the Marginal Cost of Another

Multiple Choice

In a monopsonistic input market the marginal cost of another unit of an input is greater than its price because it is assumed that:

A) the firm pays a constant price to get an additional unit of input per time period.
B) the firm has to pay a higher price to get an additional unit of input per time period.
C) the firm pays a lower price for each additional unit of input per time period.
D) the firm has to pay a higher price to get a lower number of units of input per time period.
E) the firm has to pay a constant price to get a constant number of units of input per time period.